China vows to retaliate after Trump strips Hong Hong of privileges

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China vows to retaliate after Trump strips Hong Hong of privileges
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China threatens sanctions after US President Trump ends Hong Kong's preferential trade treatment and authorises sanctions on banks in the financial hub

The new security law punishes what Beijing broadly defines as secession, subversion, terrorism and collusion with foreign forces with up to life in prison and sees Chinese intelligence agents operating officially in the city for the first time.

Critics fear it will crush wide-ranging freedoms promised to Hong Kong when it returned to Chinese rule in 1997, while supporters say it will bring stability after a year of often violent anti-government protests. Relations between China and the US have recently come under stress over a range of issues including the South China Sea dispute, treatment of Muslim Uighur minority in Xinjiang, espionage and trade frictions.

In another sign of the impact of the law, former pro-democracy lawmaker Au Nok-sin said on Wednesday he was stepping down due to Beijing's accusation that a primary election he helped organise for Hong Kong's anti-China camp was illegal and could amount to subversion.will shift part of its Hong Kong office to Seoul, the latest sign of the chill Beijing's new national security law is having on the global financial centre just two weeks after the legislation was imposed.

The New York Times will relocate its Hong Kong-based digital news operation to Seoul, South Korea. A sweeping national security law passed by China in June has created uncertainty about Hong Kong’s prospects as a hub for journalism in Asia.

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